[🇧🇩] Corruption Watch

[Saif]

Source : https://www.thedailystar.net/news/bangladesh/news/saifuzzaman-chy-owns-over-350-properties-uk-3548121

Saifuzzaman Chy owns over 350 properties in UK​

Reports Bloomberg News

Land Minister Saifuzzaman Chowdhury

Former land minister Saifuzzaman Chowdhury has built up a UK real estate empire of more than 350 properties worth about £200 million, Bloomberg News reported on Sunday.

The figures were based on a Bloomberg analysis of available Companies House corporate accounts in the UK, mortgage charges and HM Land Registry transactions.

Saifuzzaman properties range from luxury apartments in central London to housing in Tower Hamlets -- home to the largest Bangladeshi community in England -- and student accommodation in Liverpool.

The international news agency headquartered in New York City analysed nearly 250 of his UK properties and found that almost 90 percent were classified as new-builds when bought, a valuable component in a UK housing market suffering severe shortages.

These transactions took place during a period when the UK government had committed to making foreign property ownership more transparent amid criticism of the ease with which Russian oligarchs were able to hide their wealth in the UK. This process became more urgent in the wake of Moscow's 2022 invasion of Ukraine.

His property deals could revive questions over whether UK's legislation to scrutinise such purchases involving politicians are effective, according to transparency advocates.
Bloomberg also identified at least five properties in Manhattan in the USA belonging to Saifuzzaman, bought for a total of about $6 million between 2018 and 2020, according to municipal property records.

He was re-elected as an MP, but lost his cabinet post after the January 7 national election, which was boycotted by the opposition after anti-government protests were violently put down. He has since become the chair of the parliamentary committee for land.

On December 29 last year, The Daily Star ran a report on Saifuzzaman's properties in the UK. Based on the newspaper's calculation from company filings publicly available on UK government websites, it found at least 260 properties in the UK, for which he has paid at least GBP 134.76 million or Tk 1,888 crore.

The three-time AL lawmaker also has at least 537 mortgages against properties in the UK, a vast majority of which are in London. However, his tax returns, submitted along with his affidavit to the Election Commission, states that he has no foreign income, The Daily Star reported.

The Bloomberg report said that in a pre-election declaration of his interests in December, Saifuzzaman listed his total assets at about Tk 258.3 million ($2.4 million), and those of his wife, Rukhmila Zaman, at about $993,000. He did not include his UK property holdings in the declaration of assets in Bangladesh. His 2022-23 salary as a minister of state is listed as about £10,000.

Bloomberg talked to Mezbaul Haque, a Bangladesh Bank spokesperson, who without commenting specifically on Saifuzzaman, said, "While residing in Bangladesh, there is no provision for an individual to accumulate wealth abroad…. As a general rule, we do not permit individuals to do so."

Saifuzzaman falls into the category of a "politically exposed person (PEP)," as defined in the UK's 2017 anti-money laundering legislation. It puts the onus on estate agents, lenders, property lawyers and others involved in business transactions in the UK to have procedures in place to identify PEPs.

Although these individuals can engage in business transactions such as buying property, their involvement should attract extra scrutiny.

Bloomberg approached the companies named in its story, including financial services and legal firms involved in the property purchases for the Chowdhury-owned companies. The firms that responded said relevant procedures had been followed. They, however, could not provide an elaborate comment due to concerns over commercial confidentiality.

The Daily Star made several phone calls to Saifuzzaman yesterday but found his mobile phone switched off. A text message was also sent to his number, but no response came.

Bloomberg also did not get any response from the former minister and his wife to requests for comments on his property holdings outside Bangladesh or his asset declaration.

On December 26 last year, Transparency International Bangladesh (TIB), at a press conference, first raised the issue of a minister's business abroad worth over Tk 203 billion.

TIB did not disclose the name of the minister, but the anti-graft body said if any government authorities seek the information, they are ready to provide evidence.​

 

[Saif]

Tax evasion by the rich is setting us back as a nation

Experts’ suggestions on increasing revenue collection must be heeded

www.thedailystar.net

Tax evasion by the rich is setting us back as a nation​

Experts’ suggestions on increasing revenue collection must be heeded

VISUAL: STAR

That the vast majority of rich people are not paying income taxes has once again been highlighted by the Bangladesh Economic Association (BEA) which estimates that a staggering 87 percent of the country's rich and upper middle-class people are evading taxes. Even though one always suspects the number to be high in Bangladesh's context, especially given its poor tax-GDP ratio, the percentage given by the BEA shows how alarming the situation is.

In April 2023, the Centre for Policy Dialogue (CPD) estimated that Bangladesh is losing potential taxes from as low as Tk 41,800 crore to as high as Tk 223,000 crore because of tax evasion every year. If tax avoidance is also taken into account, the amount rises even further. This is not only denying the government a huge revenue and lowering the country's tax-GDP ratio—which is the lowest in South Asia and one of the lowest in the world—but also defeating one of the main purposes of taxation: reducing inequality. As such, experts have proposed that the government set up a commission to increase revenue collection and reform the revenue sector, simplify the tax payment system, and focus on collecting more taxes from the rich.​

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Several think tanks participating in dialogue on the issue gave further suggestions to the government that are worth noting: stopping the opportunity to whiten black money, bringing back laundered money, increasing taxes for unlisted companies, revising tax rates for individual taxpayers, withdrawal of tax on interest on foreign loans, etc. Additionally, according to the BEA, there are 27 sources for increasing the government's revenue collection, which can massively help us amid the ongoing economic crisis. These include imposition of wealth tax, tax on excess profits, tax on luxury goods, tax collection by abolishing duty-free facility on vehicles for privileged persons including members of parliament, securing proceeds from the recovery of black and laundered money, etc.
Read more​

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The government has, for a long time, failed to increase its tax revenue that, added with the ongoing economic crisis, has eroded its fiscal space. However, it is precisely to tackle this crisis that it urgently needs to implement the various reforms suggested by experts. Otherwise, it will continue to struggle to address the crisis and fund programmes that are essential to stimulate the economy and bring relief to the majority of people.
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[Saif]

Awami League looted 'Tk 900bn in 15 years', alleges BNP's Mirza Fakhrul

bdnews24.com

Awami League looted 'Tk 900bn in 15 years', alleges BNP's Mirza Fakhrul

He called for a collective effort to 're-establish democracy and accountability'
Senior Correspondentbdnews24.com
Published : 13 Oct 2023, 05:12 PM
Updated : 13 Oct 2023, 05:12 PM


BNP Secretary General Mirza Fakhrul Islam Alamgir has accused the Awami League of looting Tk 900 billion during their 15 years in power.

He decried rampant 'corruption, mismanagement, and money laundering' within the banking sector, asserting that it has left the national economy in shambles.

"In truth, they plundered all our national resources and funnelled them abroad.

Through various sources and media reports, we have learnt that they embezzled Tk 900 billion from both the banking sector and other domains from 2009 until now," he said at a media briefing on Friday.


Due to the absence of fresh investments, Bangladesh has failed to create new employment prospects, leading to a persistent cycle of poverty for the underprivileged, and ever-widening income inequality, according to Fakhrul.

The BNP leader called for a collective effort to "re-establish democracy and accountability" and replace the current government with a non-partisan caretaker government to ensure free and fair elections.


He further criticised the government for presenting a misleading narrative of development through infrastructure projects, while allegations of corruption and irregularities have plagued the economy.

Fakhrul highlighted a recent loan scam of Tk 300 billion, labelling it the biggest in Bangladesh's history, and expressed concern over the economic slowdown.

The BNP leader underscored the importance of accountability for good governance and the rule of law in Bangladesh, arguing that the current government's lack of accountability jeopardises various aspects of society.

“As the fascist Awami League government isn’t accountable to the people, the country's economy, politics, culture and judicial system aren’t safe in their hands.”​

 

[Saif]

Bangladesh 12th most corrupt country in the world, 2nd in S Asia

Bangladesh ranked as the 12th most corrupt country among 180 countries in the world and 2nd in South Asia as per the Global Corruption Perception Index (CPI) 2022 of the Transparency International (TI). Dropping one position from 2021, Bangladesh scored 25 out of 100 in 2022, said Dr...

www.tbsnews.net

Bangladesh 12th most corrupt country in the world, 2nd in S Asia​

Photo: TBS

Bangladesh ranked as the 12th most corrupt country among 180 countries in the world and 2nd in South Asia as per the Global Corruption Perception Index (CPI) 2022 of the Transparency International (TI).

Dropping one position from 2021, Bangladesh scored 25 out of 100 in 2022, said Dr Iftekharruzzaman, executive director of the Transparency International Bangladesh (TIB), at a press conference in Dhaka on Tuesday.

Iran and Guinea scored the same points as Bangladesh – only one point ahead of Afghanistan – in the index this year.

If Bangladesh's decline in terms of corruption continues, the country could surpass Afghanistan to be the most corrupt in South Asia soon, he added.

As per the CPI report, Bangladesh ranked 147th in 2022 among 180 countries which was the same a year earlier. The country ranked at 146 in 2020.

In the latest report, India and the Maldives both scored 40, Sri Lanka 36, Nepal 34, Pakistan 27 and Afghanistan 24 among South Asian nations.

Denmark, Finland and New Zealand ranked first, second, and third respectively among the least corrupt countries.

The Transparency International prepares the CPI report annually on 180 countries and territories around the world by their perceived levels of public sector corruption. The global average score is 43.

As per the latest report, countries with low scores are still unable to make significant progress in terms of restrictions and attacks on civic space, basic freedoms, security and stability, democracy and human rights.

The TIB executive director said Bangladesh has not done enough to improve in terms of corruption.

He said the country has gone through a stream of money laundering cases in recent times but almost no actions have been taken against those involved in these crimes.

Those who have political connections can get away easily with any corruption, which is very frustrating, he added.

"We were astonished that the people responsible for the corruption were not made accountable. But those who raised their voice against corruption, including government officials, were harassed and actions were taken against them," said Ifthekharuzzaman.

He further said, "The Bangladesh government has to create an environment where people's access to information, freedom of expression would be easier. Laws such as the Digital Security Act, Data Protection Act, and the OTT regulations act should be repealed."​

 

[Saif]

Mega-projects, mega-corruption, mega-greed

For how long will public money be plundered without any accountability?

www.thedailystar.net

Mega-projects, mega-corruption, mega-greed​

For how long will public money be plundered without any accountability?

In a capital where traffic remains the most pressing concern for an overwhelming majority of dwellers, the only thing the government agencies seem interested in is wasting – or rather, consuming – public money on ill-conceived projects. According to a report by this daily, government agencies have undertaken eight different projects in and around the capital, ignoring the Revised Strategic Transport Plan (RSTP) and without consulting each other. For instance, the Bangladesh Bridge Authority (BBA) has already spent Tk 321 crore in conducting a feasibility study and preliminary design for a 258km subway network in the capital and adjacent areas, while another government agency is already implementing a plan for six metro rail lines about 140km long.

More inconceivable still is that five of these projects have been initiated along a single alignment, with different agencies proposing and implementing their own agendas, without any coordination or consideration as to how these projects will work in tandem, or whether they will ease public suffering at all. The agencies did not even bother to consult with the Dhaka Transport Coordination Authority (DTCA), which is responsible for coordinating transport-related projects in Dhaka and five surrounding districts, and is currently reviewing and updating the RSTP. As a result, it is only likely that most of these projects will end up in the bin and, in the process, crores of taxpayers' money will be wasted without anyone having to answer for them.
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The mega-projects, now synonymous with mega-corruption, seem to have whetted the mega-appetite of our government officials, so much so that repeated calls for austerity, from the prime minister no less, are being left unheeded.​

But how can this be the state of development work in the country, particularly at a time when we are repeatedly told that Bangladesh's economy is bleeding profusely and that we all need to practice austerity? How can flyovers be built only to be broken? How can feasibility studies be conducted and designs finalised only for the project to be scrapped a few years later? How can such ludicrous projects be funded with the limited amount of taxpayers' money that should be going into social safety net programmes, health, and education?

It appears that the civil servants invested in these projects only care about them in so far as they are a means for them to earn some major bucks. The mega-projects, now synonymous with mega-corruption, seem to have whetted the mega-appetite of our government officials, so much so that repeated calls for austerity, from the prime minister no less, are being left unheeded. The question now is, will the PM – and the government at large – continue to allow such ruthless and reckless plundering of public resources at such a critical juncture, when the country and its people are suffering so acutely?

We demand accountability from the respective agencies and the government for these wasteful projects. It is downright disrespectful to the people of this country that their hard-earned money is being looted by those whose job it is to ease their suffering and ensure their best interests.
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